Daily Preparedness

Before you know it, the school bell will be ringing from kindergarten to the hallowed halls of advanced degrees. As summer winds down, it is time to once again set those alarm clocks, pack the lunches, fill up the backpacks and send the children off to school (or prepare for your homeschooling year).

No matter the grade or age of your learner, starting early and planning well can help make the school year a successful one for you and your student-children. Just a few pointers to help ease the transition:

1. Reset body clocks several weeks before school starts. If your summer schedule has included later-than-usual bedtimes and wake-up times, now is the time to reset those internal clocks. Begin with a few minutes each day, working toward a regular school schedule at least a week before school begins.

2. Do your back-to-school shopping NOW (if you haven’t already completed it). Be certain to get your supply lists from school and shop at home FIRST. You might be surprised how many supplies you have on hand. Take your amended list to the store and check off items as you purchase them. Label everything and pack away (far, far away if you have anxious little fingers around) so that all is ready before school begins.

3. Shop at home first for school clothes. Get the laundry caught up and see what junior already has in his/her wardrobe BEFORE you go shopping. Set a strict budget and shop the end-of-summer sales for fall clothing. Don’t forget to check sibling hand-me-downs as a potential source of clothing. Also check with friends, thrift shops, freecycle and Craigslist for clothing exchanges & great deals.

4. Include in every backpack an emergency contact card that includes your child’s name, address, phone, parents’ contact info, alternate contact person, important medical history (allergies, conditions, etc) and out-of-state contact. Laminate the card or seal in a ziploc bag. Attach to the inside of the backpack with a safety pin.

5. Label backpacks on the inside with your child’s name—not the outside. Outside names help predators befriend small children.

6. If your child has severe allergies to items that might be in the class or lunch rooms (such as peanuts, wheat, etc) be certain to speak with the school administration, school nurse and all classroom teachers that might have contact with your child (don’t forget art, music, etc). Speak face-to-face as well as present written information about the allergy, the possible reaction and medication that must be given. Don’t hesitate to check back with all you spoke to in a week or two to make certain that they remember. Ask what has been done to protect your child.

7. Do several ‘trial runs’ to elementary school with your child. If they are walking, point out the homes of friends on their route that they can seek help from. Be certain they know who to go to if they should ever come home and find no one home. The same thing goes for after school caregivers..make sure they have an emergency alternative planned.

8. Check to see what the school’s policy is concerning early dismissal or delayed starts. Do they have an emergency contact system in place that you can sign up for? Do you have childcare arranged for such instances?

9. Be certain that your older children (middle school & high school) are well versed in preventing accidents, how to extract themselves from a dangerous situation and who to report suspected or potential violence to. Have a frank discussion with them about the dangers of fire arms, weapons, drugs, hate crimes, sexual abuse and harassment (including being groped, spoken to inappropriately, etc), physical threats and abuse. Sexual abuse and harassment have become so common, that a shockingly high percentage of high school girls do not even recognize it when it happens to them,

10. Have the same frank discussion with college-bound students. Be certain that they are aware of safety precautions, the dangers of date rape, the potential for drugging of beverages (at a party or other social gathering, they should only drink from a can or bottle they open and which remains in their sight at all times), car safety and dorm safety. Know what safety procedures are in place at your child’s college campus and be certain they your student understands them.

11. Be certain that your middle and high school students understand that the effort they put into school now will affect the remainder of their life. The grades and activities they participate in now will affect their ability to be accepted to college & possibly win scholarships.

12. Establish good sleeping and eating habits for your students! Many high school students are chronically sleep deprived and their grades suffer. Look carefully at school lunches offered. Are the meals nutritious, healthful and handled carefully? If you are packing lunches, be certain to read up on safe food handling practices.

13. Be open and realistic about your expectations for your children’s academic endeavors. Be certain the child undeerstands what you expect and the consequences if they do not meet those expectations.

14. Have a frank discussion with your college-bound students about the realities of student debt. The average undergraduate leaves college with a diploma and $25,000 to $45,000 in debt. Advanced degree holders leave with debts that spiral upwards of $100,000. Be certain that your college student understands the full picture of the dangers of accruing not only student loan debt, but credit card debt. There are thousands and thousands of stories out there of college graduates with unmarketable degrees and a lifetime of debt to pay back. Explore other avenues of financing college, such as scholarships, work study programs, community college for general education credits, work-release programs and payback options through employers. If student loans are an absolute necessity, be sure that they are used only for absolutely necessary educational expenses. Be certain that the student understands that debt accumulated now will not disappear and should they marry, they may be doubling their debt.

15. Send your college student to the dorm with a mini-72 hour kit. Include foods that can be eaten without cooking, a change of clothing, emergency contact info, water, a first aid kit, a ’space’ blanket, a flashlight, a candle, a simple sewing kit, some cash in small bills and some matches.

16. Before college begins, check to see if your student is covered by your medical and dental plans. Be sure that your student has the appropriate policy identification cards and knows where to get care. If your child has a less-than-run-of-the-mill medical history, locate a physician in the college area and forward pertinent medical information.

17. Be certain that your college-bound student understands the realities of and how to prevent identity theft, including medical identity theft.

Enjoy watching your child grow up and conquer the world!

NOTE: While writing this article, I missed some VERY important information. Thankfully, Tami sent in a comment reminding me with her words of wisdom. Here is her comment:

“I just want to add to your note about preparing for college students–parents need to know that when their child heads off to college, there are privacy laws that apply to their child, and the parents do not have the legal right to get any information about grades or anything else. Also the parents do not have the right to be notified about any medical issues and do not have the right to be involved in any medical decisions. This can all be addressed legally, with medical power of attorney and other legal documents, but it’s something that all parents need to be aware of and discuss with their almost-grown children.”

And from me:

Thank you, Tami for pointing out this important item I missed! You are absolutely correct that parents (even ones paying the tuition bill) will have NO legal right to obtain information about their legal-aged child’s school or medical records. Even if your child is ill, the physician is constrained by law. He/she cannot discuss your child’s case or history without (except for possibly life & death situations) your child’s consent. Before dropping Junior off, have him/her execute a medical power of attorney which gives you permission to speak to caregivers. You can easily find a ‘fill in the blank’ form online by searching for medical power of attorney. Ideally, the form will be notarized and include express permission in compliance with HIPPA laws allowing you to speak to any medical professional caring for your child. A similar form should be completed with regards to academic records, etc. Thanks again, Tami!

Before we get into our next face of grasping your financial bull by the horns, check out the new page entitled ‘Frugalmania’‘. The tab is at the top of the page and it will direct you to the first four categories of frugality tips. Have one to share? Email it to us! New categories will be added shortly and the newest items in each category will be written in italics.

All self-promotion aside, if you followed the instructions from last week’s post, you should have a clear idea of where you stand financially. You should know how much money you make, how much you spend, how much you owe and how much you have saved. Don’t you feel clever? You should and now it is time to make some decisions and plans to reach your GOAL ! ! ! !

It is time to sit down, plan, think, confer, decide, make a list, plot a course and move onward. The only tools you will need is the financial information you have gathered, a pencil, a calendar, a calculator and a notebook or other sturdy type of writing surface.

First, if you are in debt and have not already done so, go through last week’s check list and slice everything you haven’t sliced from your budget. Your primary goal will be to get out of debt as soon as possible, build up an emergency nest egg and STAY OUT OF DEBT! Keep that in mind as we move forward with making plans.

Look at your nice blank calendar for the year. Fill in all gift giving occasions, including birthdays, known weddings, holidays, Mother’s Day, Father’s Day, graduations, Valentine’s Day, Easter and Thanksgiving. Why Thanksgiving? No gifts are involved but there are usually increased food and social costs so you need to plan for them. If you have detailed enough records, look back and see if your spending spiked during these periods. Was it a reasonable amount or was it too much? Either way, you will need to work these extra expenses into your savings plan.

Do any of these events incur travel expenses? Can you afford that? Can you plan far enough ahead to cut your costs? If they are family events, can extended family members help with travel expenses so that they can meet your new little bundle of joy? Estimate realistically what these trips are going to cost you.

On your piece of paper, develop a budget for these events and divide the cost over the next 12 months. Add that amount to your savings projections.

It might be helpful at this point to start a spread sheet or a month-by-month cost analysis for the major categories. It will help you keep track of what you are saving for and the amount you have available to you. Only you and your family can prioritize many of these categories and decide where you can or want to cut back.

Next, write down any household repairs, car repairs (including emissions, safety, tires, etc), or major items you know you will need for the next year. Add those amounts up and divide by 12. Enter into your monthly expense chart.

Now, you get to write down things you would like to purchase or trips you would like to take. Think about even mundane things such as a new mattress, a new freezer or new television. Set a realistic budget for these items. It might be worthwhile to do some research about the items you believe you want to purchase, typical prices, features, etc. so that you can be prepared.

If you can chart all of these items in addition to the ‘regular’ household expenses you previously figured out and still have money left over–wahoo! You have a plan!

If you cannot cover all of your regular expenses and pay off your debts while covering these other expenses, you will have to cut items from your newly formed ‘wish list’ and/or your regular expenses.

For those that are out of debt and saving on schedule, the purpose of the exercise is for you to identify not only what you might need for the next year, but what you want. If you and your family/spouse agree on the list of priorities, your discretionary income will be better channeled. The biggest secondary benefit is that by identifying the items you will need/want for the coming year and doing the preliminary research, you will be prepared to pounce on a good deal when you find it.

Example:

You want a new stainless steel refrigerator. It is on your list and everyone agrees that it is a good idea for the coming year. You do some preliminary research to know what size your kitchen can hold, what features you want, which brands are best and the expected cost. You have the money set aside, but no strict deadline for purchase. One day, you stop at a store for an item and decide to browse through the appliances. And there it is–your perfect stainless steel refrigerator with every feature you want and it is the last floor model. It is marked 50% off the normal price. Eureka–you did it! You knew what you wanted, what it should cost (so you knew the 50% off was really 50% off the retail) and had the money!

Likewise, if you want to go to cousin Freddy wedding in August, you know it will cost your family $2000 to go. You’ve carefully shopped for hotels, tickets and even calculated in the cost of clothing. By doing your analysis, you see that you simply are not going to have the $2000 in time. You will know have to decide if there is another way to accomplish your goal (can one family member go or could you find a cheaper place to stay?) or decide that going to cousin Freddy’s wedding is not something you can do this year. If you can afford it, you have plenty of time to shop, plan, bargain hunt and get the best possible prices on everything before August.

Having a plan also helps develop self-control. It is easier to tell yourself, “I don’t really need this dress and I want to go to cousin Freddy’s wedding more” than it is to tell yourself just plain “No”.

If your goal is to simply get out of debt (and that is a FABULOUS PLAN that should be your first plan), give yourself a visual reminder of that goal. Fill an empty jar with beans. Mark the jar (a permanent marker will write on glass) in increments of debt, proportionate to the debt and your time table for paying it off. It can work best if your first few marks are fairly small amounts–say what you can pay off in a week’s time. You can lengthen the increments as you get further into the plan.  For example, if I had $10,000 in consumer debt that I was going to pay off in the next year,  I would make my first mark at $200 which would be a little bit more than one week’s ‘pay down’. I would do this for the first several months worth of weeks and then lengthen it to monthly. Unless you need constant re-enforcement! You might add a bean to your wallet to remind you of your goal. As you pay off that debt, take out the beans to that line. When the jar is empty, you are FREE!! Pat yourself on the back, roast a marshmallow, sing a song and enjoy the freedom–then stay that way!

Having a plan helps family members understand cut backs in other areas and gives you a common goal to work towards. Just remember to keep saying, “Nothing feels as good, looks as good or tastes as good as being financially free!”

Christmas is over and the New Year begins in just a few days. It is that time of year when our hearts and minds turn to setting ‘resolutions’ which we often forget by Valentine’s Day! Let this year be the exception and set not a single resolution, but rather set some goals for yourself and your family. Set goals that will improve your standard of living, your health and help you be better prepared for what looks like a bumpy financial ride for all of us!

Before setting a single goal, it is important to know where you are right now. Think of setting goals as the same process you would use when utilizing a GPS system. First, you have to know where you are in order to get directions to where you want to go. Today, let’s focus on financial well being and your ability to weather financial storms ahead.

Your starting point must include your current income, which should be easy to figure out. If you don’t know your gross and net take home pay, ask your employer to provide a year-to-date summary for you. Look at that summary and see what you currently have taken out of your paycheck. Are your IRS deductions reasonable? Did you pay a great deal of income tax last year when you filed your return or did you receive a larger than necessary refund? Although lots of folks LOVE getting those refunds, they are actually interest-free loans that you have granted Uncle Sam. Be realistic and consult a tax expert if you have questions.

Next look to see if you are taking advantage of the benefits provided by your employer without being over-insured or paying for benefits that you aren’t using. Do you take advantage of 401K contributions matched by your employer? What about a pre-tax health savings account–which is only worthwhile if you actually use the full amount every year! And don’t forget pre-tax childcare expense accounts.

Now you know how much you make. Do you know how much you spend? Do you know how much you owe others? Take a cold hard look at your spending habits by pulling out (or accessing online) your previous bank statements. Who is getting the bulk of your money? Is there a fair amount of cash unaccounted for?

If you haven’t already done so, write down every single mandatory monthly payment that you must make. Don’t forget mortgage, insurance, student loans, debt in any form, utilities, TV, phone, internet, tuition, cars, etc. This first category should include only those expenses that are set each month.

The second category will be flexible expenses such as savings, clothing, food, gas, donations, travel, entertainment or gifts. If you don’t know how much you spend on these items, it is likely that you are using cash. That isn’t bad, but it can be difficult to track what you spend. For the next few weeks, write down anything you pay cash for and calculate that into this category. Be brutally honest or the exercise will be pointless and you will not know where you are beginning from!

Add up these two categories and see if you are running a deficit. If you aren’t, you should be saving every month and never having to worry about when the next payday is. But, if you have loans that you must repay or are carrying a balance on any credit card, you are still experiencing deficit spending–just keep that in mind as we proceed to decide where we are right now!

You should have a fairly clear idea at this point if you are living within your means, way above your means or (the best of all possibilities) BELOW your means and saving the difference.

For those of you living below your means–good on you! You know what you make, what you spend and are saving your hard-earned money. You now only need to decide if you are taking advantage of all possible tax benefits, investing your money wisely and where you want to be in the future. Are you on track for goals one year, five years, ten years and twenty years in the future? Are you utilizing your common sense and self-discipline to be prepared in other areas of your life? Are you enjoying life–are there things you would like to do or to acquire? Do you have a plan to accomplish those wishes (you probably do, but it never hurts to check)? Do you know what you could cut from your budget immediately if need be? Do you know exactly how much money you have to have on a monthly basis? Set your goals based on the answers to those questions, and keep reading just in case you can learn something new. Or post your suggestions to everyone else!

If you are living just within your means, go through the following exercise with those living above their means. You are failing to get ahead and truly prepare yourselves and your family. Should you hit a ’speed bump,’ your security will be threatened. Now is the time to re-appraise, cut back and save, save, save, save. Acquire no new debt, pay off any that you have as quickly as you can and strengthen your overall level of self-reliance.

Those of you in a serious deficit spending lifestyle need to stop–RIGHT NOW!!! If you are consistently spending more money than you make, it is time to swallow a giant dose of self-discipline and take off those rose-colored glasses. Put your credit cards away, analyze the living daylights out of that budget and start cutting TODAY!! Not tomorrow, not after the holidays are over, not after that big family reunion, not after your teeth are whitened, etc, etc, but NOW! Take a cold, hard, self-reproaching look at those expenses you have written down and face the facts head on:

Do you have cable TV? Cancel it today.

High speed internet? Cancel it today.

Eating out (and that includes stopping for a soda or a candy bar out of the vending maching)? Stop today.

Giving generous gifts? Stop today. Make something simple or just send the person a well thought out and meaningful letter.

Buying new clothes? Stop today. Use what you have, shop clearance racks, garage sales, thrift stores and freecycle.org for items you really have to have.

Having manicures, pedicures, massages, spa visits? Stop today.

Insisting on designer labels? Get real!!

Eating prepared, over-priced and nutrionally challenged foods? Learn to cook! It isn’t hard, really it isn’t!

Renting movies or paying for Netflix? Stop it…the library offers a wide variety of DVD’s for free.

Paying for a zillion and one activities for your children? Stop and send them outside to run around. Take them to a free playground or one of the many free museums around you. Give them some paper and crayons or even better scissors and glue! Read a book, play a game or just talk to each other.

Going to the movies? Please, wait for the DVD at the library.

Buying books? Again, the library and that goes for magazines as well.

Driving around burning up gas? Consolidate necessary errands (first you have to learn what is really necessary & needful) and save gas.

Need something or have something you don’t need? Try freecycle.org or craigslist. You might be surprised what you can give away or get for free.

Bartering is a good thing, too.Can you exchange mending, child tending or gardening for Junior’s piano lessons? Save your cash and exchange your skills.

Eating fancy meals, even at home? Learn to cook and enjoy staple, inexpensive foods high in nutrition and low in fat.

What about prepared snack foods? String cheese, chips, cookies, candy–all high in calories and low in nutrition. Pop some popcorn or make a batch of nutritious cookies from your food storage. Cut up a chunk of cheese. Stick snack foods in ziploc bags before you leave the house so that you won’t be tempted.

Is your home over-heated? Turn that thermostat to a reasonable level. Turn it down even further at night and put a sweater on in the daytime! Close the curtains, plug up drafts and wear warmer clothes.

Utilities sky-rocketing? Turn off lights, electric appliances and other energy-sucking items when not being used.

Batteries eaten up by gadgets? Either use re-chargables and/or cut down on the gadgets.

Cell phone bills silly? Ask yourself–do you really need one? Is Junior texting everyone on the planet? Does Junior even need a cell phone? Are you using up or paying for too many minutes?Will your employer subsidize your cell phone?

Shopping for fun? Try going for a walk, reading a book from the library or visiting a friend. Shopping = spending = more debt = more stress = no fun at all.

You get the idea, don’t you? Slash all discretionary spending and pare down even ‘necessary items’ to their barest levels. Pay off that debt NOW! Keep telling yourself that nothing tastes as good, looks as good or feels as good as being out from under the load of debt and uncertainty.  For anyone living below their means or just at their means, this should be your first goal of the year–control spending, cut anything unnecessary, pay off debt and save something! Set weekly, monthly, quarterly and yearly goals. Keep close record of how you are doing and pat yourself on the back as you accomplish each goal. You’ll like yourself and each new day much more when you are financially free.

For everyone else, you might want to do the same analysis of your spending to be certain you know where you are spending your money. Analyze exactly what you would have to have to live if your income was slashed. Also, set goals for those things you want to do with your money this year. Write those goals down and divide them as explained above.

We have all heard and should all have internalized that we are collectively facing an economic upheaval. No matter what your income, your profession or your situation, we are all likely to be affected by what promises to be a rocky ride. Fasten your seatbelts and prepare!

In the musical “Annie”, there is that classic song with the lyrics, “Tomorrow, tomorrow, there’s always tomorrow, you’re only a day away..” The younger we are, the more we believe that our tomorrows are endless and probably merely improvements on today. As we contemplate our future, we are full of hope, enthusiasm and great plans for all that life has in store for us. Often in this type of contemplation, we don’t want to think about the realities of life, the nitty-gritty ‘what ifs’ about living; illness, dying, aging, handicaps, health issues, caring for elderly parents and hardships. But, life can deal any or all of these to without warning. Being prepared is our only true defense! Here, then, are a dozen things we all should do to prepare for anything that ‘tomorrow’ might bring, for we all know that ‘tomorrow is only a day away…’!

1. Have you granted trusted relatives the right to discuss your medical care with your physician or other medical personnel? Federal and state laws make it illegal for medical personnel to discuss your care with anyone unless you have given permission for them to do so. This is good, but could be a problem should, say your loving daughter believes you are exhibiting the signs of a stroke. If daughter calls your doctor, the doctor, legally shouldn’t discuss her with you. My Mother & I discovered this when she passed out and then was less-than-fully-functioning for a while. Her doctor had her write a letter listing those she authorized to talk to him and their contact information. The letter also gives the doctor the right to call one of us if he believes there is something we need to be aware of. This also applies to your children over the age of 18 (16 for some matters), so have them execute such an authorization before going off to college. You might want to consider granting someone a medical power of attorney. This is often part of a living trust and some wills. This gives an individual the right to make medical decisions for you in case you are incapable of doing so for yourself.

2. Have you recently checked your will or trust? A living trust greatly can reduce the process should you become incapacitated or pass away. Consider changing from a will to a trust. The trust can divide your assets as you see fit and protect you in case you are incapacitated. Periodically review the terms and see if they fit your current circumstances and wishes.

3. Do you have an Advanced Directive? This document details your wishes should you be terminally ill or if you need to be resuscitated. Your doctor, hospital or attorney can provide you with the simple form.

4. Consult an estate attorney before you add anyone’s name to any your real or personal property. Some families attempt to circumvent probate this way, but it can leave all parties open to all sorts of liability and tax issues. It may be better to form a ‘Limited Liability Corporation” if non-spousal relatives wish to own property jointly. Each state’s laws differ so be certain to contact an attorney.

5. Do you have someone you can trust to help you review your financial situation? Who will take care of your finances if you are incapacitated? Again, a trust with two executors can be a great thing.

6. Do you have your financial and insurance information in one place that someone knows about? A simple three ring binder can work. As you pay bills for insurance, etc. or receive statements, simply put one copy of each form in your notebook. You might want to add any charge accounts you have, especially those that have credit life. You don’t have to replace the copies as you receive your statements–just add any new ones you open. Photocopy the deed to your house, your car registration and any other document and put those copies in your notebook. Now, add contact information for those you would need to contact in an emergency. It wouldn’t hurt to give a copy of this to your executor. It is a great back up in case you have an emergency or lose your home.

7. Put passwords on all of your accounts—bank, credit union, credit cards, etc. Don’t open an account where they won’t let you use a password. The password will protect you from someone else changing the information on your account. This is a simple and yet effective way to prevent someone stealing your credit! If you think you won’t remember the password, chose a word and write a sentence about it in your address book. For instance, if your password were “Mercedes”, write down, “My first car was a Mercedes”. That will help you remember.

8. Do you have copies of your birth certificate, marriage license, service records, car registration, divorce decree, passport–all those pesky life documents we need? Put them with your account notebook or notate in the book where you keep them.

9. Write down your wishes for your “Final Farewell”. If we don’t speak our minds, those we love won’t know what we want and may spend more time or money than we would have wanted “Paying tribute to us.” Family feuds are often started over, “What Mother would have wanted.” For instance, I would rather my children go on a lovely cruise than spend $25,000 on a casket for me. (Did you know you could order discounted caskets online now??? Not legal in all states, but in many. For instance, you can order a traditional, tasteful, handmade casket produced by monks for as low as $695.) Shopping ahead of time is much, much better than buying prepaid funeral plans. Research burial options and decide ahead of time.

10. Be very, very, very, very cautious of anyone offering to sell you insurance, prepaid funeral plans, financial management, etc, etc. Have a trusted friend or relative who will talk through the many offers you might receive before you make a decision. Never enter into a long-term contract without taking at least 72 hours to think about it. The same is true of investments and other major purchases. Trusted, reputable institutions will never pressure you or use scare tactics.

11. If you are married, are you a full partner in knowing everything there is to know about your financial situation, the insurance you have, liabilities, etc.? If you aren’t, you should be!

12. Is your home safe for you? Before you fall, have grab bars installed in your bathroom. If you need them other places, have them installed now. Check for tripping hazards. Have a phone that does not rely on electricity. If you think you might require assisted living, start shopping early. Choose one that will accept Medicare in case you outlast your resources.

And one bonus:

13. Decide at the beginning of each year which charities you wish to support. Decide how much you can reasonably afford and then donate it. Throw ALL OTHER letters from charities into the trash BEFORE you open them. You can also decide every quarter or twice a year.

In today’s culinary world of fast-food, prepared foods, ‘take it and make it’ nearly prepared foods and the explosion in frozen dinners, it is easy to become totally reliant on food that is prepared by others. Not only are prepared and restaurant meals higher in sodium, fat, sugar and calories, they are a steady drain on your budget. In an age when we are seeing grocery bills climb daily, it is not only frugal but nearly mandatory to re-examine the cost vs. benefit of the way many of us prepare our meals. And as our economy declines, we may all be faced to return to the ways of our mothers and learn to cook!

Researchers at Arizona State University compared the hourly rate we as consumers are affectively paying for many ‘convenience’ food. They purchased food in the non-shredded, cubed, etc. form and then calculated how long it took to prepare the food into its ‘convenient’ state. This calculation was then translated into an hourly wage that you, the consumer, are paying someone else to perform a simple task. For instance, shredded cheese costs you over $49 an hour as vs. buying a block of cheese and shredding it yourself. Cheese sticks? More than $43 an hour! In addition to paying someone else an exorbitant rate for a simplistic task, these ‘conveniences’ usually utilize the lowest possible grade of the product, then add coatings, inhibitors and other ingredients to extend their life and usability. The researchers also found that many ‘convenience’ foods such as pre-chopped, frozen, throw in the pan entrees save very little time (as little as 10 minute), while adding tremendously to the over-abundance of sodium, fat and sugars.

Even if you are willing to trade dollars and health concerns for the ‘value’ of convenience, you should still acquire the ability to easily prepare a wide variety of foods that result in a nutritious, wholesome and affordable meal for yourself and your family. Many adults today are lacking in these basic skills and that lack of education hampers one’s ability to not only live providently but to survive a wide variety of emergencies.

If you fall into the ‘heat and toss’ category, consider beginning now to learn the fine art of food preparation. You need not achieve the status of gourmet cook, but simply learn how to easily and economically prepare breakfast, lunch and dinner from fresh ingredients. At least once a week, prepare each of these meals using no pre-packaged/half-prepared foods, raw ingredients including a variety of meats and vegetables, a carbohydrate such as rice, potatoes or pasta, and fruit. In a huge hurry? Scrambled eggs, toast and fresh fruit should take no more than 10 minutes to prepare and serve. No time to clean up? Use a nonstick pan that is dishwasher safe and paper plates. You will be eating a meal that is nutritious (more so if you omit some of the yolks), cheap, fast and much healthier for you than a trip through the drive thru! If you are running out the door, slap the eggs on the bread (or a tortilla), wrap it in foil and eat as you walk to the car.

Don’t have a clue what to cook or how to cook it? Check out your local library for standard cookbooks such as The Joy of Cooking, which teaches everything from how to boil an egg to making creme brulee. The editions published during WWII include dealing with limited quantities of common items such as meat, flour and sugar. Some of their recipes, tips, techniques are available online at www.thejoykitchen.com.

Your first attempts at true ‘from scratch’ cooking may seem cumbersome and frustrating. Cooking, like any skill, requires practice and repetition to achieve ease and consistency. Keep trying, keep experimenting and don’t hesitate to ask for advice!

For experienced cooks, refresh your skills in a new area. Try cooking with food storage items, making your own yogurt or cooking meatless for a week.

Any skill you develop that provides your family with more economical, health-conscious food is one to treasure!

As with a medical ‘physical’, a Fiscal Physical requires you to look at the history, examine the patient, evaluate and make recommendations based your findings. Those recommendations (even if they are a bitter pill to swallow) may just find you better able to accomplish all of the other goals you set for yourself It is important to remember that how we handle the financial aspects of our lives has a direct relationship to all other areas of our lives!

Put on that white coat, grab your financial records, and let’s get started on your Fiscal Physical!

The first step is to analyze the incoming money. Where is it coming from? Is it a secure source of income? Can you increase your income this year? Are you taking advantage of all pre-tax options? Are the exemptions declared on your W-2 adequate but not excessive?

Next, look at where your money has gone. Everyone has a different method of and different comfort level of tracking how they spend their money. Some people must record every expense they make while others have broad (or no) categories. Wherever you are in that spectrum, are you comfortable with it? Did you have money left over after meeting necessary expenses? Do you have absolutely NO idea where your money went? Are you saving appropriately? Do you have emergency funds? Are you planning for the future? Do you even know how much you have saved? Are both spouses equally aware of and agree to the allocation of money?

Now, see if the outgoing and incoming are relative to each other. If you have debt beyond a reasonable home, reliable transportation and as few student loans as possible, your incoming and outgoing are out of balance. If you feel stressed about your expenses and shudder every time an envelope with a window arrives in the mail, you need some Financial ICU time! Time is truly of the essence and you must make the decision now that you will become Financially Fit.

After assessing your incoming and outgoing status, analyze all of your accounts. This includes credit cards, loans, mortgage, checking accounts, savings accounts, 401-Ks, IRA’s, CD’s, stocks or other investment vehicles. As you perform this review, check to see if you are optimizing your investments, saving enough and have a plan for the future. Review your insurance coverage in health, life, home, liability and auto. Pull out your ‘What If’ notebook to be certain that a copy of each account’s statement is in your notebook.

If you have a balanced in and out flow, still continue on with the physical. You might find that you could be saving more; you can plan ahead and utilize the money that you are saving wisely.

For those that need a trip to the Money ICU, there are some bitter pills that you may need to swallow in order to get yourself back into a state of Financial Health. Look carefully at where your money is going. If you don’t know, start tracking ALL of your expenses. Do this for at least a month. Remember, little expenditures just like little savings add up quickly. Look for any area in which you might be able to cut expenses right now. Do you really need cable TV? Multiple cars? Dinners out? Fast food? Have the courage to honestly assess where you are, where you want to be and how you can remedy any mistakes that you have made. If necessary, cut up or stash away your credit cards. Cancel any ‘extras’ that you can and begin to take control of your life today.

The next step, no matter what your financial health, is to plan ahead. As you look at the blank pages of the calendar begin to list all of the expenses you know are coming and, if possible, what month they will be due. If needed, use one of those free calendars and actually write down the expenses for each month. For example, do you have youth going to camps this summer? Tuition due? Vacations? Birthdays? Christmas—it comes every single December so start planning now! Do you have taxes due in certain months? Insurance premiums? Other holiday expenses—Halloween, Easter, Valentine’s Day, Mother’s Day, Father’s Day. On each holiday estimate what you will spend and develop a budget NOW! Don’t forget back to school expenses—clothes, shoes, books, supplies, and all of those fees that seem to add up each September. And of course there is prom, homecoming, etc, etc, etc.

After writing down the date-defined expenses, begin to think about those big bills that are likely to come due this year. Does the car need new tires? The house need a new roof? What about the furnace and a/c? Chimney cleaning? Landscaping? College tuition? Wedding? Need a new refrigerator?

Now, write down the things or experiences that you would like to have—things like new furniture, a vacation, new television, etc. Prioritize this list and consult other family members to see if they have known needs or wants.

You should now have a fairly comprehensive outlook of your major expenses for the next year. Of course, you have to add in all of those other ‘necessities’ such as mortgage, food, insurance, donations, etc, etc. Fairly quickly, you will be able to see how much of your family income can be allotted to each need, goal and desire.

All planned expenses can now be saved for. If the entire family is aware of your combined goals, saving can take on the feel of a contest. You have a reason in mind—a goal, something the ‘team’ can work toward. And if there are bitter pills to swallow, you can do it together!

Another benefit of listing all of your needs and wants is that you can watch for sales, clearances or even giveaways of items on your list. Certain items are cheapest at certain times of the year. Knowing this allows you to get the most for every one of your dollars.

Being in control, or in other words, being frugal with your resources, is the best guarantee any of us can have of achieving and maintaining good financial health. Regardless of income, frugality is a principle that yields not only physical, but emotional and spiritual well-being.

No matter what your income level, stretching your hard earned dollars is a wise move. Why spend more than you need to? Smart spenders know that there are bargains everywhere. Small savings quickly add up to large numbers of dollars that YOU get to KEEP! Think of it as a game, a hunt for the best price on everything you buy. And the trophy? More money in YOUR bank account!

Many of these topics are covered in depth under their own heading in other articles, but here is a quick review of basic things we all spend money on:

Price comparison and Price Matching: Many retailers will match the advertised price on items. You can save yourself time, gas and money by pre-shopping the weekly sales flyers for items you wish to purchase. Consolidate your list and see if one store carries all of the items. Simply take the flyers from multiple retailers into one location, head for customer service with your chosen items and ask for a price adjustment.

Online shopping & comparisons. The internet provides all of us a portal to quick and painless price comparisons. Most grocery stores and major retailers post their weekly flyers on their website. Many will give you the option of being notified via email when a new flyer is available. If you find an online price cheaper than the brick and mortar store, ask that they match the price. If they can’t, many will order the item for you at the internet price and have it shipped to the store for free. Also, be certain to ‘google’ any item you are shopping for. Check all of the results for the best price. If you call the supplier directly, you may be able to get an even better price! There are price comparison search engines, but these do not always give the broadest possible results. Also remember that many of the results at the top of ‘google’ or the side bar results are sponsored links–the company has paid to have the top spot so these may not be the best deal.

Out of stock? When a store is out of stock on a sale item, ask if they could possibly substitute another item. Many will offer you the next higher priced product at the sale price. And do NOT forget to ask for a raincheck. You can then wait to purchase the item (up to the expiration of the raincheck) at the sale price.

Gas guzzling your wallet? Of course, you will consolidate your errands and keep your car maintained so that you get the best gas mileage. Before you go out to fill up your tank, use one of the many online gas comparison sites such as www.gaspricewatch.com. Some local radio stations are offering a similar service. Do remember though that driving too far out of your way to save a few pennies at the pump is most likely costing you money.

Insurance. Periodically review your insurance coverage and cost on your home, health and auto. Everyone needs insurance, but a quick call to your agent or competitors may save you BIG. If you find a quote cheaper than you are currently paying and are happy with your insurance company, ask them if they can meet the competitor’s price. Also, update your insurance if you add safety features to your home such as an alarm system or enhanced fire detection system. These can reduce your premiums. Be certain to read the fine print on any policy so that you know what you are covered for! Definitely avoid unknown or little known companies. There are LOTS of insurance frauds out there. Don’t forget to accept the offers from banks and credit unions for free small life or disability insurance. Don’t feel pressured to ‘add to’ these policies, but accept the freebies. Keep a copy of the ID card, policy info, etc in your ‘What If’ Notebook.

Cars. Whether buying or selling, check your emotions at the door. People that buy cars emotionally are prone to overpay and over-regret later. A little bit of research ahead of time can save you BIG! Do some online research into cost guides such as edmunds.com (though many of the prices listed do not account for economic downturns, markets glutted, etc) for the average cost of the car you are looking for. Research recalls, maintenance costs AND insurance costs as you decide which vehicle to buy. Compare warranties–what they cover and for how long. Once you have decided between one or more possible cars, search online for ‘internet pricing’ from dealers in your area. NEVER, NEVER, EVER fall victim to the common scam of ‘the car is in Portugal or another state, but in pristine condition….send me cash and I’ll send you the car’. Everyday, people fall victim to this one! Don’t buy a car you can’t drive where you want to (within reason) and have checked by a mechanic you trust. If looking for a new car (usually an unwise step), at least see if you can’t get a fleet or ‘direct’ price via the wholesale department. Be certain that any warranty information you given is in writing and matches what the salesman tells you. Research is your friend–use it wisely!

Watch That Cashier! We all make mistakes and so do automated cash registers!! Researchers believe that a good percentage of cash registers are not accurately portraying sales and clearance prices. The average consumer is over-charged thousands of dollars in a lifetime. When you pick up clearance items, double check the price. At the register, be certain you can see the price being rung up. If it is incorrect, notify the cashier. Also remember that most grocery stores will give you the item free if it rings up incorrectly. Before you leave the store, at least glance over your receipt. If you notice a discrepancy, head straight to customer service.

Eating Out/Calling In. If you eat out or enjoy carry out food, always watch for coupons. For those that dine out a great deal, consider investing in an ‘Entertainment Book’, which is full of buy one/get one free coupons. Before calling in an order for delivery or carry out, check online for internet specials or printable coupons. When you place an order on the phone for delivery or carry out, ask about specials. When you see a coupon, cut it out and stick it in your Entertainment Book or on the frig. Don’t forget, too, about early bird specials, happy hour specials and other ’special’ times at your favorite restaurants.

Clearance Zones. Learn where your favorite retailers place their ‘clearance zones’. Nearly every major retailer has a set mark down timetable and area they place items marked down. As you go through the store, zip past these areas and keep your eyes peeled for bargains. For instance, Target uses end caps at the opposite end of aisles from the ‘main aisle’. Items with a price ending in a ‘4′ are usually at the end of the mark down cycle and will not be marked down further. At Sam’s Club, an item with a price ending in a ‘1′ is usually at the end of the cycle. Also look for end of season items drastically reduced–especially items that can be utilized for other purposes. For instance, I pick up Christmas gift sets at 90% off that contain flashlights, mini tool kits, pasta and other food items. At Sam’s, they cleared out ‘holiday’ pasta packaged in Rubbermaid canisters. The canisters normally retail for about $6 each and contained 8 pounds of pasta. Worth about $8. My cost? $3.01. My savings? $10.99. Post-holiday sales are also a great place to stock up on plastic totes. Check Target after Halloween and you may pick up orange totes for 90% off.

As you go about your daily life, incorporate the concept of wise spending and watch the savings add up!!

Have you ever thought of the car as being a part of your preparedness plan? It should be! Those 4 wheeled dollar hogs are expensive to purchase, insure, fuel, maintain and keep ready should we face a need to ‘hit the road’.

The Prepared Auto is one that is, first and foremost, affordable. Large auto loans that stretch the family budget are detrimental to your long term financial, spiritual and emotional well being. Choose wisely when you must purchase a car. Make sure it fits your family needs (not necessarily wants), has a good safety record and will last for years to come. Save as much as you can to avoid consumer debt and shop carefully; engaging your brain more than your emotions!! (See separate article about saving money when buying a car.)

Before purchasing a car, double check the cost of insuring it! Insurance rates are based on the value of the car, its durability in a crash, the likelihood of theft and the damage it can do to another vehicle. Also check the crash test results of any car you are considering. The Insurance Institute crash tests are more thorough than the US government tests.

When you have your car, maintain it properly according to the manufacturer’s instructions. Simple oil changes, the correct tire pressure and maintaining all fluid levels will reduce your repair bills and cut your maintenance costs.

Now that you have the car and maintain it carefully, prepare it to be your mode of transportation not only everyday but in the event of a small or major catastrophe. Some important ‘to dos’ include:

1. Refuel no later than when the gas gauge hits the 1/2 empty mark. You will never run out of gas and it is actually better for your car to not allow it to pull gas from the very bottom of the gas tank. This is particularly true for older cars.
2. Stock your car with the following: (all items can fit in a small bag) flashlight with battery stored outside the flashlight, 3 or 4 road flares, 1 or more ‘space’ blankets,
   2 liters of water, candle in a jar, matches, energy bar (or hard granola bar), hat, spare tire & appropriate tools, small map & compass, diapers for those with babies, wipes & hand sanitizer, first aid kit, sanitary needs, tissue, jumper cables, cash in small bills, change, bungee cord, & multi-tool. If you live where it snows, add a small shovel & sand for winter driving.
3. NEVER ALLOW ANYONE to ride in your car unless they are properly restrained in the appropriate car seat, booster seat or seat belt.
4. Secure loose items in the car. Things can fly and cause damage to occupants!
5. Help children learn to entertain themselves while in the car.
6. Avoid using the cell phone while driving.
7. In the glove compartment, keep paperwork required by law. Be certain that you have contact information for your insurance company and roadside information.
8. Maintain the appropriate tags, stickers and license. Don’t wait until the end of the month to get necessary inspections done.
9. Lock your car and keep packages out of sight.
10. You can store a good number of quarters and rolled bills in an empty tube that mini-M&M’s come in. Keep this in your glove compartment.
11. Have a cell phone charger that works in your car.
12. If you have an old cell phone, charge it up and store it in your glove compartment. Even if it is not ‘registered’ with a cell phone provider, you can call 911 with it.
13. Have an extra set of keys for every car you own hanging in an easy to find place within your home. Many cars are unnecessarily lost during evacuations because those at home do not have a key to the cars sitting in the driveway. Even worse would be that those at home could NOT evacuate safely because they did not have a key to the car!
14. Even if you have a GPS system, travel with a good road map in the car!
15. Keep a list of contact phone numbers in your car–include family members, work phone numbers, children’s schools and those you could call in an emergency.
16. Remember that eating while driving is just as deadly - if not more so - than talking on your cell phone behind the wheel!

If you take care of your car, it will be ready at a moment’s notice to take you wherever you are required to go!